Australian Dollar (AUD) is unlikely to weaken much further; it is likely to trade in a lower range of 0.6420/0.6455. In the longer run, risk for AUD is tilted to the downside toward 0.6420, UOB Group's FX analysts Quek Ser Leang and Peter Chia note.
As expected, the Riksbank left its policy rate unchanged at 2% on Wednesday. At the same time, it signaled the possibility of a further interest rate cut this year, which would be 'in line with the June forecast', Commerzbank's FX analyst Antje Praefcke notes.
USD/MXN retreated on Wednesday as investors became worried about the Federal Reserve’s independence, as the Trump administration “doubled up” their pressure on Fed officials, as revealed by Bloomberg.